How insurance can support climate resilience

Partnerships for disaster risk insurance in the EU

“…Damages for which third parties are held liable are excluded from the eligible damage in the state aid regulation and the solidarity aid. The established liability systems across the EU MS differ substantially in taxonomy and structure (von Bar and Drobnig, 2004). The German civil code, for example, associates general liability for fault with cases where the wrongdoer has infringed a legal right of the victim (Wagner, 2009).…”

“…Vice versa, the scope of English tort law is based on the duty of care. English and Irish Common Law distinguish some 70 torts, among which the most important ones for our purpose are trespass, negligence, breach of statutory duty and nuisance (von Bar and Drobnig, 2004). An example of nuisance is a use of land which causes damage or interference with another's use and enjoyment of his/her land.…”

“…The Draft Common Frame of Reference (DCFR) (von Bar et al, 2009) was conceived as a legal experts' response to the EC questan attempt to uniformize European private law. Book VI of the almost 5000-page compilation addresses non-contractual liability arising from damage caused to another.…”

“…The inclusion of affordability and equity issues in the design of insurance against natural catastrophes expands the role of the public sector from regulatory oversight and residual risk management 1 to a combination of ex ante and ex post subsidization, with an active involvement in insurance design. Public intervention may also interfere with market equilibriums and undermine, rather than encourage individual risk reduction (Surminski et al, 2016). Managing the trade-offs between public policy objectives and market mechanisms poses serious technical, operational and coordination challenges (Pérez-Blanco and Gómez, 2014).…”

Pluvial flood risk and opportunities for resilience

“…The term is meant to designate flooding that results from inadequate drainage and is not meant to include overbank flow from streams or coastal inundation. Alternative terms for pluvial flooding include, "street," "sheet," "surface," or "overland" flooding (de Almeida, Bates, & Ozdemir, n.d.;Jenkins, Surminski, Hall, & Crick, 2017;Leandro, Schumann, & Pfister, 2016;Surminski, Bouwer, & Linnerooth-Bayer, 2016). Since cities are particularly prone to pluvial flooding, it is sometimes referred to simply as "urban" flooding, even though pluvial flooding can occur in undeveloped or agricultural catchments when precipitation rates exceed natural infiltration rates, and flooding in urban areas can result from other mechanisms such as fluvial and coastal flooding.…”